Arbitrage is like any other basic business mode wherein one just likes you to purchase something for less, and then disposing it for higher cost. It works in a way similar to advertising your site, which has ads in Adwords program for a lower cost per click (CPC), anticipating a higher return. Well, it all seems simple, but Arbitrage needs caution and care while implementing it.

In context of this. keep the following aspects in mind:

1. Whatever amount you have bid for per click, your earnings will fluctuate based on the visitors’ behavior pattern and whether they wish to check out ads on your website. So you cannot expect or pre-gauge your profit from this.
2. We all are aware of the fact that Adsense ads in your webpages are essentially co-related to the subject matter. Perhaps that particular visitor has arrived at your site from any other Adwords ad. So what is probability of visitors clicking on your Adsense ads? There is no definite answer.
3. You may not be inviting or prompting a visitor to click your Adsense ads, not violating terms of service of any Adsense program, still this is not necessarily the only option in order to monetize money. In some cases, it is a wise idea to seek targeted clicks.
4. Also, the possibility of Google Adsense trapping you and even suspending your account or banning you permanently is always there. That can hurt you big time! In effect, proper website or Internet marketing can prove to be a wiser option for promoting your business.
5. Ensure that your webpages and site landing pages are thoroughly and ethically optimized to make them search engine friendly in order to draw visitors.
6. You may also resort to article marketing, social bookmarking and forum marketing, all proven methods for site promotions. These are methods that can ensure slow but steady ranking rise for your site.

In case you want to avoid penal action as part of Google Adwords arbitrage policy, stick to following parameters

• Not less than 30% of the overall browser display area should comprise unique, relevant and user friendly content. According to the policy stipulated, this will exclude elements such as search boxes, navigation links, headers and logos, among others.
• Well-organized and specific commercial offers (like those mostly seen on retail websites) may get counted as relevant subject matter as long as they offer marked user value.
• The browser display area that is utilized for ads should not and can not exceed that used for unique content. For instance, if 30% of it includes relevant content, not over 30% of the display space utilized for advertising should be there.
• If 50% display area has useful and unique content, up to 50% of the overall display space may be utilized for ads. The website must harbor intrinsic user value beyond offering ads.